Feb. 3, 2024
Hi, i have a few thoughts about SR-OCC-2024-001, it seems that this will ultimately place the u.s. markets in even greater danger as it will only let large portfolio managers play even riskier. you want to protect short selling because it promotes price discovery, right? Well, the first rule of short sells is that the losses can be infinite. without the risk of a margin call or managers to ignore a margin call until its so massive that drags everything else down like a black hole doest seem like the best plan. without a reasonable margin call it no only negates the risk of derivatives, which, in and of themselves, only add instability into the market. but without a healthy reign on the ability to leverage your portfolio to something reasonable, you can basically let anyone drive the market as they choose. it's gambling, in the worst way, and gambling should come with the risk. It's safer for our economy and our markets for people gambling on the stock market to go bust early when it's stoppable instead of when it's a trillion dollars in the hole. This bill is wildly irresponsible, and will only lead to not only margin calls down the line, margin calls so massive it will make black Friday seem tame. -thank you Richard Rogers